What is the ethical issue and who are the stakeholders

Assignment Help Accounting Basics

Reference no: EM132694776

Husker Distributors has paid quarterly cash dividends since 1985. The dividends have steadily increased from $.25 per share to the latest dividend declaration of $2.00 per share. The board of directors is eager to continue this trend despite the fact that revenues fell significantly during recent months as a result of worsening economic conditions and increased competition. The company founder and member of the board proposes a solution. He suggests a 5% stock dividend in lieu of a cash dividend to be accompanied by the following press announcement:

"In lieu of our regular $2.00 per share cash dividend, Husker will distribute a 5% stock dividend on its common shares, currently trading at $40 per share. Changing the form of the dividend will permit the Company to direct available cash resources to the modernization of physical facilities in preparation for competing in the 21st century."

Problem 1: What is the ethical issue and who are the stakeholders

Reference no: EM132694776

Questions Cloud

Prepare the necessary journal entry on december : On March 31, 2019, management authorized the write-off of the J. Barnes account for $1,062. Prepare the necessary journal entry.

Explain the characteristics of culture : List and explain the characteristics of culture. Discuss the major advantages and disadvantages of scientific and traditional medicine,

Briefly describe your healthcare organization : Briefly describe your healthcare organization, including its culture and readiness for change. (You may opt to keep various elements of this anonymous.

Difference between general senses and special senses : Discuss the difference between general senses and special senses. How might you go about determining if the skeleton is male or female?

What is the ethical issue and who are the stakeholders : What is the ethical issue and who are the stakeholders? Husker Distributors has paid quarterly cash dividends since 1985. The dividends have steadily increased

Conduct a critical appraisal of published research : In this Assignment, you will use an appraisal tool to conduct a critical appraisal of published research. You will then present the results of your efforts.

Refusal to restart blood pressure medication : What considerations/actions should the nurse make regarding the client's refusal to restart his blood pressure medication?

How to take care of yourself and family after loss of love : Who is involve in hospice care? Support services that are available within the community? How to take care of yourself and family after the loss of a love one?

Explain the ethical considerations in health care : Students maintained and submitted weekly reflective narratives throughout the course to explore the personal knowledge and skills gained throughout this course.

User Account

All Pages